Applied Materials (NASDAQ:AMAT) Stock Price Target Cut by Wells Fargo & Company

Key Points

• Wells Fargo cut its Applied Materials price target from $610 to $500 but maintained an Overweight rating; the new target implies about 39% upside from the price cited in the report.
• Shares fell 5.6% on Friday to $359.48. Across analysts, the stock has a “Moderate Buy” consensus rating and an average price target of $593.67.
• Applied Materials beat quarterly estimates, reporting EPS of $4.16 versus $4.06 expected and revenue of $10.41 billion versus $10.30 billion expected.

Applied Materials (NASDAQ:AMAT - Get Free Report) had its target price lowered by equities researchers at Wells Fargo & Company from $610.00 to $500.00 in a research report issued on Friday, Benzinga reports. The firm currently has an "overweight" rating on the manufacturing equipment provider's stock. Wells Fargo & Company's price objective indicates a potential upside of 39.09% from the company's current price.

Other research analysts have also issued reports about the company. Deutsche Bank reissued a "buy" rating and issued a $605.00 price target (down from $680.00) on shares of Applied Materials in a research report on Friday, August 14th. Seaport Research Partners reaffirmed a "buy" rating and set a $575.00 price objective (up from $500.00) on shares of Applied Materials in a research report on Friday, August 14th. Erste Group Bank downgraded Applied Materials from a "buy" rating to a "hold" rating in a research report on Wednesday, August 5th. Royal Bank Of Canada reiterated an "outperform" rating and issued a $600.00 target price on shares of Applied Materials in a research note on Friday. Finally, Craig Hallum boosted their target price on shares of Applied Materials from $530.00 to $585.00 and gave the stock a "buy" rating in a report on Friday, August 14th. Twenty-nine analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $593.67.

Applied Materials Stock Down 5.6%

AMAT stock traded down $21.47 during trading on Friday, hitting $359.48. 4,159,642 shares of the company's stock traded hands, compared to its average volume of 7,911,989. The firm has a market capitalization of $285.28 billion, a P/E ratio of 31.00, a PEG ratio of 0.77 and a beta of 1.67. Applied Materials has a 1 year low of $203.40 and a 1 year high of $739.67. The company has a quick ratio of 1.79, a current ratio of 2.42 and a debt-to-equity ratio of 0.20. The business has a fifty day simple moving average of $439.22 and a two-hundred day simple moving average of $445.83.

Applied Materials (NASDAQ:AMAT - Get Free Report) last posted its earnings results on Thursday, November 12th. The manufacturing equipment provider reported $4.16 earnings per share for the quarter, topping analysts' consensus estimates of $4.06 by $0.10. The company had revenue of $10.41 billion during the quarter, compared to analyst estimates of $10.30 billion. Applied Materials had a return on equity of 38.02% and a net margin of 30.05%. During the same quarter in the prior year, the business earned $2.17 earnings per share. Applied Materials has set its Q1 2027 guidance at 4.150-4.550 EPS. Sell-side analysts anticipate that Applied Materials will post 12.79 EPS for the current year.

Insider Buying and Selling at Applied Materials

In other Applied Materials news, CFO Brice Hill sold 7,500 shares of the firm's stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $479.25, for a total value of $3,594,375.00. Following the completion of the sale, the chief financial officer owned 128,613 shares of the company's stock, valued at approximately $61,637,780.25. This trade represents a 5.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Judy Bruner sold 1,000 shares of the firm's stock in a transaction dated Tuesday, September 8th. The stock was sold at an average price of $465.00, for a total value of $465,000.00. Following the completion of the sale, the director directly owned 25,544 shares of the company's stock, valued at approximately $11,877,960. This represents a 3.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 9,225 shares of company stock worth $4,454,181. 0.30% of the stock is owned by insiders.

Institutional Trading of Applied Materials

A number of institutional investors have recently bought and sold shares of the stock. Conscious Wealth Investments LLC increased its holdings in Applied Materials by 1.5% in the third quarter. Conscious Wealth Investments LLC now owns 14,141 shares of the manufacturing equipment provider's stock valued at $7,207,000 after buying an additional 212 shares during the last quarter. Xcelsior Advisor Partners LLC lifted its holdings in Applied Materials by 398.2% during the 3rd quarter. Xcelsior Advisor Partners LLC now owns 3,637 shares of the manufacturing equipment provider's stock worth $1,860,000 after buying an additional 2,907 shares during the last quarter. Elgethun Capital Management lifted its holdings in Applied Materials by 8.2% during the 3rd quarter. Elgethun Capital Management now owns 1,060 shares of the manufacturing equipment provider's stock worth $542,000 after buying an additional 80 shares during the last quarter. Novare Capital Management LLC lifted its holdings in Applied Materials by 824.7% during the 3rd quarter. Novare Capital Management LLC now owns 3,588 shares of the manufacturing equipment provider's stock worth $1,835,000 after buying an additional 3,200 shares during the last quarter. Finally, Lifeworks Advisors LLC grew its position in shares of Applied Materials by 3.5% in the 3rd quarter. Lifeworks Advisors LLC now owns 4,582 shares of the manufacturing equipment provider's stock worth $2,343,000 after acquiring an additional 156 shares in the last quarter. 80.56% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Applied Materials

Investors following AMAT have been watching these headlines:

• Positive Sentiment: Applied Materials reported record fourth-quarter revenue of $10.41 billion, up 53% year over year, and non-GAAP EPS of $4.16, up 92%; both beat estimates. Management’s first-quarter revenue outlook of $10.6 billion to $11.6 billion was also above the consensus midpoint. Fourth-quarter results
• Positive Sentiment: Management expects Semiconductor Systems sales to grow more than 40% in calendar 2026 and sees another record year in 2027, citing strong AI-chip demand. Customers are seeking earlier deliveries, while component and clean-room capacity—not demand—is limiting shipments. 2026 growth outlook
• Neutral Sentiment: Management expects China to account for less than a quarter of shipments in 2027. Reduced exposure may ease concerns about export restrictions, though China remains a source of uncertainty. China and demand commentary

About Applied Materials

Applied Materials, Inc. develops and supplies equipment, software and services used to manufacture semiconductors and advanced displays. Its technologies help customers build and process materials at the microscopic scale required for chips and other electronic products. The company's offerings include systems for depositing, removing and modifying materials, as well as inspection, measurement and process-control tools. It also provides equipment and services for advanced semiconductor packaging and supports customers with maintenance, upgrades and manufacturing software.

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